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Kangji Medical Holdings Ltd
HKEX:9997

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Kangji Medical Holdings Ltd
HKEX:9997
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Price: 9.2 HKD Market Closed
Market Cap: HK$11.1B

EV/GP

9.7
Current
21%
More Expensive
vs 3-y average of 8

Enterprise Value to Gross Profit (EV/GP) ratio compares a company`s total enterprise value to its gross profit. It shows how much investors are paying for each dollar of the company`s gross profit, including both equity and debt.

EV/GP
9.7
=
Enterprise Value
HK$9.1B
/
Gross Profit
¥826.9m

Enterprise Value to Gross Profit (EV/GP) ratio compares a company`s total enterprise value to its gross profit. It shows how much investors are paying for each dollar of the company`s gross profit, including both equity and debt.

EV/GP
9.7
=
Enterprise Value
HK$9.1B
/
Gross Profit
¥826.9m

Valuation Scenarios

Kangji Medical Holdings Ltd is trading above its 3-year average

If EV/GP returns to its 3-Year Average (8), the stock would be worth HK$7.59 (17% downside from current price).

Statistics
Positive Scenarios
1/4
Maximum Downside
-27%
Maximum Upside
+40%
Average Downside
4%
Scenario EV/GP Value Implied Price Upside/Downside
Current Multiple 9.7 HK$9.2
0%
3-Year Average 8 HK$7.59
-17%
5-Year Average 7.1 HK$6.72
-27%
Industry Average 8.4 HK$7.98
-13%
Country Average 13.6 HK$12.9
+40%

Forward EV/GP
Today’s price vs future gross profit

Not enough data available to calculate forward EV/GP

Peer Comparison

All Multiples
EV/GP
P/E
All Countries
Close
P/E Multiple
Earnings Growth PEG
CN
K
Kangji Medical Holdings Ltd
HKEX:9997
Average P/E: 27.7
17.4
10%
1.7
JP
Hoya Corp
TSE:7741
37.6
15%
2.5
US
M
Medline Inc
NASDAQ:MDLN
Not Available
30%
N/A
CH
Alcon AG
SIX:ALC
36.3
32%
1.1
DK
Coloplast A/S
CSE:COLO B
22.8
21%
1.1
US
Align Technology Inc
NASDAQ:ALGN
31.1
34%
0.9
CA
Bausch + Lomb Corp
NYSE:BLCO
Negative Multiple: -16 N/A N/A
UK
ConvaTec Group PLC
LSE:CTEC
31.1
41%
0.8
CN
Shenzhen New Industries Biomedical Engineering Co Ltd
SZSE:300832
23
9%
2.6
CN
Intco Medical Technology Co Ltd
SZSE:300677
21.9
12%
1.8
KR
H
HLB Inc
KOSDAQ:028300
Negative Multiple: -36.5 N/A N/A

Market Distribution

In line with most companies in China
Percentile
37th
Based on 6 967 companies
37th percentile
9.7
Low
0 — 8
Typical Range
8 — 23.3
High
23.3 —
Distribution Statistics
China
Min 0
30th Percentile 8
Median 13.6
70th Percentile 23.3
Max 17 898 541.1

Kangji Medical Holdings Ltd
Glance View

Market Cap
11.1B HKD
Industry
Health Care

Kangji Medical Holdings Ltd., nestled in the bustling backdrop of China's thriving medical device industry, has carved a niche for itself in the realm of minimally invasive surgery (MIS). Since its inception, the company has focused on designing and manufacturing a range of surgical tools and devices that cater specifically to MIS procedures. These procedures, which include general surgery, gynecology, and urology, are gaining popularity due to their reduced recovery times and lower risk factors compared to traditional surgery. Kangji Medical leverages its robust R&D capabilities and intimate understanding of physicians' needs to deliver high-quality, ergonomic instruments that enhance operational precision and patient outcomes. The lifeblood of Kangji Medical lies in its strategic manufacturing and marketing prowess, enabling it to maintain a solid foothold in the competitive landscape. By keeping its production chain streamlined and efficient, the company achieves significant cost advantages, which in turn translates to competitive pricing. These savings are reinvested in expanding its product portfolio and enhancing technological innovations, thus ensuring a constant edge over its peers. Moreover, Kangji's astute distribution networks and partnerships with leading hospitals enable it to secure a steady demand flow for its products. This strategy has not only facilitated steady revenue growth but also ensured Kangji's reputation as a reliable contributor to the advancing field of minimally invasive surgical procedures.

Intrinsic Value
11.15 HKD
Undervaluation 17%
Intrinsic Value
Price HK$9.2
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